The arrest of mining baron Gali Janardhan Reddy is expected to add muscle to the CBI’s investigations into the alleged transfer of funds between him and the YSR Congress president Y.S. Jagan Mohan Reddy.
Though Mr Jagan, speaking in New Delhi on Monday, denied any link with Mr Janardhan Reddy, the CBI which is probing assets of the Kadapa MP and illegal mining activities of Janardhan Reddy, is concentrating on their business links between them.
For one, the CBI is looking at Brahmani Steels, owned by Mr Janardhan Reddy, as the company was got a huge chunk of land from the government for establishing the factory in Kadapa district.
The YSR government allotted 10,675 acres to Brahmani Steels. Accord-ing to sources, R.R. Global, which is having sub-contracts from Obulapuram Mining Corporation, invested huge amounts into Jagati Publications floated by Mr Jagan Reddy. It is this link that brought Bramhani Steels on the CBI radar in the Jagan case. And now the CBI is also looking for links between Jagan and Janardhan through RR Global.
There is another link in the form of RR Global, owned by Mr S. Diwakar Reddy, a small-time miner from Pulivendula, the home town of Mr Jagan Reddy, and a regular visitor at YSR’s camp office. RR Global is an investor in both Jagathi Publications of Mr Jagan Reddy and the Obulapuram Mining Corporation of Mr Janardhan Reddy.
Also Mr Diwakar Reddy’s brother, Mr S. Ramakrishna Reddy, is executive director of Saakshi Telugu daily and Indira Television (Saakshi TV) of Mr Jagan Reddy.
“We will concentrate on the outflow of the money from the mines,” a senior official said, adding that there is already a link in the form of RR Global, which got substantial revenue out of Obulapuram mines as a sub-contractor and made investments in Jagan’s companies is also affidavit.